I think that Nintendo copied the pages right out of Apple's playbook.
Instead of trying to get into an arms race over which product had the most impressive features, they instead focused on usability and user experience. The first iPod was never the most sophisticated mp3 player nor did it ever have the most features. But they added a unique clickwheel and made the user experience part of the product itself.
Ever since it's launch, technogeeks have been crying that the iPod sucks and there are more technically capable competitors. They called the clickwheel a gimmick. But they completely missed the point. Apple designed it's product for the average person, not the technogeek.
Apple was very smart with their pricing. They determined the price at which consumers would be willing to pay. In addition, the price was at a point where they could make a good profit on every unit sold.
I believe that Nintendo studied closely what Apple did and copied it. Their products are designed around the user experience. They added features that at first glance might be considered gimmicky, but in reality adds to the user experience. Their pricing was at a point which was attractive to consumer and makes a healthy profit.
You would think that after getting it's ass kicked by Apple in the portable music player market, Sony would have learned some lessons. I just don't think they get it.
